Transformational Leadership, Organizational Climate and Job Satisfaction in Work Teams

Abstract

Purpose: The purpose of this paper is to analyze the role of transformational leadership and its relationship with organizational climate, job satisfaction and work team performance. Design/Methodology/Approach: An empirical study was conducted with questionnaires applied to a sample of 185 leaders and work team collaborators from Colombian companies belonging to the construction sector. The hypotheses were tested using Structural Equation Modeling (SEM). Findings: The results showed that transformational leadership positively influences job satisfaction and organizational climate in work teams. It was also found that job satisfaction has a positive influence on organizational climate, and that both constructs positively influence teamwork performance. Practical Implications: This study analyzes the strategic role transformational leadership plays in organizational results stemming from work teams, to the extent that such leadership style promotes a positive organizational climate and high employee satisfaction levels. Organizations could enhance their performance through practices that promote this leadership style in their managers. Originality/Value: This research expands the literature on transformational leadership by presenting empirical evidences on the relationship between this leadership style, organizational climate, job satisfaction, and team performance in the particular context of an emerging economy such as Colombia.